Articles Posted in Breach of Contract

No-Load Mutual Fund – South Florida Mutual Fund Breach of Fiduciary Duty, Negligence and Breach of Contract FINRA Arbitration and Litigation Attorney: A “No-Load” fund is a mutual fund offered by an open-end investment company that imposes on sales charge (load) on its shareholders. Investors buy shares in no-load funds directly from the fund companies,…

Securities and Exchange Commission Charges Purported Money Manager in New York Who Schemed Investors and Lied to Commission Examiners The Securities and Exchange Commission (Commission) recently charged the owner of a New York-based investment advisory firm with defrauding investors while grossly exaggerating the amount of assets under his management. The SEC alleges that Fredrick D.…

Cash Basis of Accounting, Accrual Method of Accounting and Modified Cash Basis: South Florida Accounting Negligence and Breach of Contract Commerical Litigation Attorney, Russell L. Forkey, Esq. The Cash Basis accounting method recognizes revenues when cash is received and recognizes expenses when cash is paid out. In contrast, the Accrual Method of accounting recognizes revenues…

Municipal, Corporate and Revenue Bond – South Florida Breach of Fiduciary Duty, Breach of Contract and Negligence FINRA Arbitration and Litigation Attorney: A premium bond is a bond (Corporate, Revenue and Municipal) with a selling price above face or redemption value. For example, a bond with a face value of $1,000 would be called a…

Preliminary Prospectus, Preliminary Offering Document, Preliminary Official Statement – South Florida Fraud, Misrepresentation and Omission FINRA Arbitration and Litigation Attorney: A preliminary prospectus also known as a “red herring” is the first document released by an underwriter of a new issue to prospective investors. The document offers financial details and other information about the issue…

Put and Call Option Premium Income – South Florida Option Abuse, Excessive Activity, Breach of Fiduciary Duty, Negligent Supervision FINRA Arbitration and Litigation Attorney: Option premium income is income received by an investor who sells a put option or call option. An investor collects premium income by writing a covered option, if the investor owns…

Yield to Maturity (YTM) – South Florida Breach of Fiduciary Duty, Negligent Supervision and Breach of Contract Litigation and FINRA Arbitration Attorney, Russell L. Forkey, Esq. “Yield to Maturity” is a concept used to determine the rate of return an investor will receive if a long-term, interest-bearing investment, such as a bond is held to…

Executor – Executrix – South Florida Elder Abuse and Advocate Litigation Attorney: An Executor or Executrix is the administrator of an estate that is being probated. The administrator gathers the estate assets, files the estate tax return and final personal income tax return; and distributes the balance, of the estate, in accordance with the terms…

Contingent Deferred Sales Load (Charge) – South Florida Elder Abuse Mutual Fund Breach of Fiduciary Duty FINRA Arbitration and Litigation Attorney: A contingent deferred sales load (charge) is a sales charge levied by a mutual fund if a customer sell fund shares within a specified number of years. Instead of charging a traditional front end…

Bond Discount – Florida Bond Investment Breach of Fiduciary Duty, Breach of Contract and Negligence FINRA Arbitration and State and Federal Litigation Attorney: A bond discount is the amount by which the market price of a bond is lower than its face value. Outstanding bonds with fixed coupons go to discounts when market interest rates…